The industry is in a state of flux, chiefly driven by climate protection and the long-term transition to non-fossil fuels and resources. This transformation process towards a CO2-neutral global economy calls for new technologies and solutions, e.g. for process automation. German sensor solutions provider SICK and Swiss measurement solutions specialist Endress+Hauser have signed a joint Memorandum of Understanding for strategic partnership in the area of “Cleaner Industries.” Both companies see valuable opportunities to jointly contribute to a future-ready power supply, while also helping customers in the process industry throughout the value chain to meet their sustainability targets.
Many firms want to reduce their energy and resource consumption and gradually switch to non-fossil fuels and resources. The requisite new process technologies will need to be monitored and controlled by intelligent sensors and systems. In response to this dynamic market environment for process automation, SICK and Endress+Hauser now plan to tread new paths of collaboration.
Profiting from technological expertise and sector-specific knowhow
Accordingly, SICK AG and Endress+Hauser AG have engaged in intensive discussions on a strategic partnership and signed a joint Memorandum of Understanding to join their forces in process automation. Their goal is to jointly market and refine SICK’s Flow and Analyzer technologies – and to provide customers better support throughout the value chain with future-relevant topics like climate and environmental protection, the energy transition and hydrogen economy in the process.
Tentatively, each company will hold half the shares in the joint venture and contribute half the members of its Senior Management. Endress+Hauser plans to contribute financially, share its technological expertise, and open new sales channels worldwide. In turn, SICK is to contribute the product-generating units of its Cleaner Industries Business Cluster, which include several development and production sites throughout Germany, to the joint venture. The Sales and Service staff at SICK Sales and Service Units around the world with a focus on Cleaner Industries are to be transferred to Endress+Hauser’s Sales Centers. The next phase will involve a thorough review of the relevant business fields and drafting a contract for the two partners – which will tentatively be concluded in the first quarter of 2024 with the official signing of the contract for the integration and related transactions by both parties. The closing is scheduled for mid-2024.
New solutions from market and portfolio synergies – boosting chances of success
The two partners’ current product and solution portfolios in process automation are complementary and leading in their fields of application. In its Cleaner Industries business, SICK develops, manufactures and sells Analyzer applications, e.g. for emissions monitoring in connection with conventional fuels. In addition, SICK’s ultrasonic flow meters already offer reliable measuring for natural gas/hydrogen mixtures, promoting the transition to non-fossil fuels. By providing intelligent solutions for waste incineration plants, power plants, steel works and cement works, for the oil & gas industry, and for chemical/petrochemical plants, SICK has been making an important contribution to preserving the environment for decades.
Endress+Hauser supports customers in the process industry worldwide in their sustainable transformation. With its products, solutions and services, the company contributes to energy and resource efficiency, energy transition and the circular economy.